£645,000 growth capital funding round for Econovate Ltd
Econovate Ltd is pleased to announce the completion of an oversubscribed £645,000 growth capital funding round for the company. Funds were provided by a group of angel investors supported by Simmons Gainsford Corporate Finance LLP. Other terms are not disclosed.
Econovate uses a patented process to produce construction blocks from cellulose fibre from recycled paper otherwise destined for landfill. The blocks have a carbon footprint of minus 174kg of CO² per cubic metre – in comparison traditional concrete block have a carbon positive figure of ca. 200 kg of CO².
This investment will allow the company to grow by increasing its productivity and automatize the pilot plant, giving the team the parameters to design the full size plant.
Commenting on the transaction Marga Pelli, Managing Director of Econovate commented “It was an absolute pleasure working with Andrew Wood at Simmons Gainsford Corporate Finance. He and his team ensured we were thoroughly prepared and were with us at each critical stage of the process –
including identifying a group of angel investors who bring a broad range of synergies to the table, in addition to cash. We look forward to working with Simmons Gainsford again as we grow further”.
Andrew Wood, Senior Partner at Simmons Gainsford Corporate Finance LLP said “Econovate’s product is truly unique and the company is now equipped to grow further and exploit its intellectual property to become the number one “green” product in the market.” With this investment we are also incorporating two new non-executive directors who will be contributing with their expertise and experiences and whom will be helping the company to reach the next stage of this journey.
About Econovate Limited
Econovate Limited www.econovate.com
Econovate® is committed to tackling global warming by developing sustainable products for the construction industry. We aim to manufacture products out of waste diverted from landfills and help reduce CO2 emissions by exploiting fibre cellulose waste to create superior construction materials of the highest environmental credentials.
Our current product is manufactured to high value fibre cellulose based goods, engineered to achieve enhanced thermal and acoustics specifications in an affordable and high performing structural block. Furthermore our business model supports local economies by sourcing and supplying locally and keeping a low carbon footprint.
The company has developed an award winning sustainable low carbon material that plans to position itself at a worldwide scale. The vision is to take a share of the low carbon building materials value chain by using low-grade waste paper and cardboard, diverted from landfills to create superior construction products. Our current product the “econoblok” uniquely combines technologies from different industries to manufacture fibre-cellulose based breeze block, engineered to achieve enhanced thermal and acoustic specifications in an affordable and high performing structural block all rolled into one product.
Econovate currently has a semi-automatic pilot plant and is currently providing blocks for exemplar buildings. The first volume production plants will follow from 2018 onwards. We will set up a full manufacturing plant in the UK and will licence the manufacture and commercialization of our econoblok around the world.
Tel. +(44) (0)1442 212427